PayPal is rolling out new features that allow users to pool money with friends or family to cover group expenses like trips, gifts, and more. This updated pooling service is now available in the U.S., Germany, the U.K., Italy, and Spain, just in time for the holiday season.
In fact, this feature isn’t entirely new—PayPal previously offered a similar tool called “Money Pools,” introduced in 2017 to compete with emerging group-payment apps. However, that service was discontinued worldwide in November 2021. The reasons behind its closure weren’t fully disclosed, but one limitation was that all contributors had to have PayPal accounts. By 2021, other platforms offered similar services without this restriction. Additionally, the company had shifted its focus to products supporting charitable donations, competing with platforms like GoFundMe. PayPal has not specified why it decided to bring back the feature now.
With the refreshed version, users can create a pool through the PayPal app or website by selecting “Pool Money” from the menu. This option can also be found in the “More Option” menu under the “Send/Request” tab.
One major improvement is that contributors no longer need a PayPal account to add money to a pool. Users can set details like a title, description, target date, and optional goal amount, and share a link for others to contribute via text, email, WhatsApp, or Messenger. The pool creator can monitor individual contributions and transfer funds to their account for immediate spending on things like travel, gifts, or events.
John Anderson, GM and SVP of Consumer at PayPal, shared, “Everyday life is about connections. Whether for group gifts or trip planning, PayPal wants to simplify these moments with a free, easy way to collect and manage group funds.”
While other apps like Venmo and Splitwise have group expense-splitting features, these are typically useful for post-purchase repayments. PayPal’s new pooling feature is designed for gathering funds upfront before making a purchase.
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